Sunday, 3 July, 2022

Taka weakens further against US dollar

Bangladesh Bank has devalued the local currency Taka against the US dollar for the third time in a month amid pressure on the country’s foreign exchange reserves.  

The official exchange for one US dollar has been set at Tk 87.90 for bank transactions, 0.45 taka higher than the previous rate. The price is much higher at the retail level, better known as the kerb market.

BB Executive Director Serajul Islam confirmed the matter to the media on Monday.

The central bank has been taking steps to control the money market through devaluation of the local currency against the US dollar amid the rising inflation rate.

The devaluation of the Bangladeshi Taka is not a country-specific matter but a global concern as US dollar becomes stronger globally after the Russia- Ukraine war.

Bangladesh Bank devalued taka for the first in early January this year when the official exchange rate of one USD was fixed at Tk 86. Dollar price reached  Tk 86.20 on March 23.

The exchange rate of a dollar was Tk 86.45 in an official transaction on April 27 and the rate increased to Tk 86.70 on May 9.

On May 16, Bangladesh’s currency was devalued as the central bank brought down the exchange rate of US dollar to Tk 87.50. The price crossed Tk 100 in the open market.